The present invention relates generally to an automated reconciliation system. More specifically, the present invention relates to a system for the reconciliation by a retail or wholesale vendor of products which have become unsaleable due to their passing date of expiration, or by their lack of popularity with consumers. Such items include publications, foodstuffs, tobacco products, paper goods, drugs and electronic media.
In the consumer products industry, goods are typically sold at discounted price and distributed from manufacturer to retail vendor, with title to the goods passing to the vendor. An exception to this is the publishing industry, where newspapers, magazines, and paperback books are typically sold on a consignment basis by the vendor. A vendor of publications must go through a reconciliation process with the publisher to be reimbursed for unsold copies.
This reconciliation process is common for vendors of daily newspapers. Typically, at the end of the day, a vendor has a number of unsold copies remaining. The masthead off of the front of each unsold newspaper must be cut or torn off and mailed back to the publisher for reimbursement. It is not uncommon for a newspaper publisher, for example, to receive thousands of torn mastheads every day requiring manual reconciliation. This known system of reconciliation of publications requires the publisher, or intermediary wholesaler or distributor, to employ large numbers of customer service and accounting personnel for tabulating and reconciling torn mastheads and the like. As a result, it often takes weeks before the vendor is reimbursed for the unsold publications. Further, vendors typically order only what they are sure they will sell due to the tedious reconciliation process and the significant delays in reimbursement.
Due to the foregoing disadvantages of known reconciliation systems, as seen in those employed by the publishing industry, it is desirous for a vendor of a consumer product to be able to quickly and easily reconcile unsold product units and receive prompt reimbursement therefor. Additionally, a computerized reconciliation system is desirable to automate the entire process to greatly improve speed and accuracy of reconciliation.
Further, an automated system of reconciliation would offer significant advantages to manufacturers and vendors of mass consumer products, such as tobacco, over-the-counter or prescription drugs, greeting cards, electronic media, and the like, which are today typically sold at a discounted price and distributed from manufacturer to retail vendor, with ownership resting with the vendor. Such a system, permitting instantaneous and secure reconciliation of unsold product units, would greatly simplify the task of marketing these goods on a consignment basis, or with the option of automated reconciliation of unsold units.